Installing Parallels for Mac, question about the install process?

I just downloaded the Parallels for Mac Destop. I am at the install of a New Windows setup and it asks me where I want to install the Windows install "From".

I already have a Bootcamp install, and I have the Windows 7 install DVD. Do I have to choice to install it from the DVD or will it take my BOOTCAMP install and convert it over?

I'm a little confused how all of this works and I appreciate you help.